COMPANY NEWS; ADC TELECOMMUNICATIONS TO PURCHASE PAIRGAIN

The telecommunications equipment and software maker ADC Telecommunications Inc. said yesterday that it would buy PairGain Technologies Inc. for $1.6 billion in stock to broaden its portfolio of products that provide high-speed data services over ordinary telephone lines. ADC will swap 0.43 share for each PairGain share. Shares of Minneapolis-based ADC fell $2.8125 each, to $44, while PairGain, based in Tustin, Calif., gained $1.4375 a share, to $17.50, in Nasdaq trading. The acquisition of PairGain will allow ADC to serve the fast-growing digital subscriber line market.